The American Petroleum Institute (API) has submitted a report to Congress regarding the Renewable Fuel Standard (RFS) and according to Bob Greco, API’s downstream group director, the RFS is “broken beyond repair”. In a press call, he called the RFS a “reality gap” and argued that with gasoline demand being down decreasing imports and levels of cellulosic biofuels being “disappointing” this proves that while the RFS may have been well-intentioned six years ago, it is a “dangerous relic of America’s era of fuel scarcity.
“Today, the RFS is not just outdated; it is bad public policy that is poised to harm millions of consumers. We’re meeting with members of Congress to help them understand the severe economic consequences that could occur unless they take action,” added Greco.
Tom Buis, CEO of Growth Energy said that once again API is distributing misleading information in an attempt to roll back the RFS – the most successful energy policy America as ever enacted.
“Apparently API thought it was a good idea to make the 1,000th day that gasoline has averaged more than $3 a gallon to announce a policy agenda designed to keep us addicted to fossil fuels foreign oil and high gas prices,” said Buis.
“Talk about irony and a total disconnect from reality. We have lowered our foreign oil imports by approximately 20 percent since the RFS was enacted in 2005 and API wants to roll back our progress to retain their market share and record profits. Seems to me they are aiming for another 1,000 days of record profits and consumer pain at the pump,” continued Buis.
Buis explained that the price of oil is controlled by “OPEC,” an oil monopoly. Oil is traded on a global market and regardless of domestic production, without alternatives, gas prices will continue to set new records and burden the American motorist.
“Currently ethanol is trading 80 cents lower that regular unleaded gasoline,” added Buis. “This is about market share, plain and simple. Big Oil is looking to block any alternatives that are less expensive and threaten their bottom line.”
Buis concluded that the country must stop putting all its energy eggs in one basket. “it is dangerous for our national and energy security, and fails to invest in the American economy, domestic energy and innovation that will help usher in the next generation of renewable fuels to meet our nation’s growing energy needs.”